Bankruptcy Blogs

To Restore Trust in Banks, Build Ethics into Business Decisions

12/08/14

Appointing a chief ethics officer can help banks maintain their integrity and foster public trust. Banks should also develop decision processes that explicitly address the question of whether they should do something, as opposed to whether they can.

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The Daily Docket: Delia’s Files for Bankruptcy

12/08/14

The Wall Street Journal reports that teen retailer Delia’s filed for Chapter 11 bankruptcy protection.

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What The ABI Bankruptcy Overhaul Doesn’t Include

12/08/14

While restructuring professionals have proposed some interesting changes to the bankruptcy code, it’s also striking what their 370-page report leaves out. Here are some hot topics in the bankruptcy world that wouldn’t be affected:

Distressed-Debt Trading

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Morning Scan: Banks Don't Want Big Corporate Deposits; New York DFS's Secret Weapon

12/08/14

Wall Street Journal

It's not often you hear about banks turning away deposits, but the paper reports that a number of banks are suggesting corporate clients take their money elsewhere in light of impending liquidity rules that make holding their cash less profitable. JPMorgan Chase, Bank of America, Citigroup, HSBC and Deutsche Bank are among the lenders that have held this unusual conversation over the past few months, according to the paper. "The change upends one...

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Bankruptcy Law Overhaul Would Mean Big Changes

12/08/14

The American Bankruptcy Institute unveiled its long-awaited Chapter 11 reforms Monday morning, which aim to help struggling businesses but also propose to take away perks for lenders who extend bankruptcy loans and to remove protections for some investors who profited from leveraged buyouts. Wall Street Journal Reporter Katy Stech read the 370-page report (read her story here) so you don’t have to.

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Motions for Reconsideration – A Lesson from Worldspace

12/07/14

The efficient manner of speech which Judge Walsh employs during hearings shines through in this opinion released December 5, 2014 in the Worldspace bankruptcy (Bank. D. Del. 08-12412).  In 3-1/2 pages of his opinion, Judge Walsh explains the requirements of a motion for reconsideration and illustrates the weakness of the movant’s position.  Judge Walsh’s opinion is available here (the “Opinion”).

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New Media Equals New Ethical Issues

12/07/14
When I was in high school, social media consisted of my home telephone line.   I could use it to access the outside world until my parents told me to get off the phone because they were expecting an important call.
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ABI Commission Unveils Chapter 11 Recommendations

12/07/14
The ABI Commission to Study the Reform of Chapter 11 unveiled a summary of its recommendations at the Winter Leadership Conference on December 4 in La Quinta, California.   The full report will be released on December 6 and contains 240 recommendations in a report spanning four hundred pages and twelve hundred footnotes.
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